Institutional lending in crisis is evaluated from a theoretical point of view. First, the share of senior loans in new loans is irrelevant under a given probability distribution of the country's resources.
... See More + Second, seniority may partially alleviate the inefficiency of debt contracts when the distribution of resources is endogenous to the country's physical investment and effort towards success. Third, with multiple lending rate equilibria, institutional lending may induce a switch to a lower private loan rate if it can be done in a sufficiently large amount. Fourth, conditions are analyzed under which debt forgiveness is efficient under a financial shock.
See Less -

The impact of changes in job security regulations in India and Zimbabwe. Diversification of macroeconomic risk and international integration of capital markets: the case of Mexico.
... See More + Debt relief and economic growth in Mexico. Introduction: tax policy issues for the 1990s. Do taxes matter for foreign direct investment? Prospects for agricultural land taxation in developing countries. Taxation of financial assets in developing countries. Tax incidence analysis of developing countries: an alternative view. Applying tax policy models in country economic work: Bangladesh, China, and India. A retrospecitve on the fifth anniversary of the World Bank economic review - note from the editor - cumulative indexes of articles and authors - list of referees.
See Less -

Cote d'Ivoire represents an ideal opportunity for a case study of the effects of fiscal policy in a developing country with a fixed exchange rate.
... See More + For the last 15 years, the growth of the Ivorian economy has been dramatically affected by both exogenous factors and the responses of fiscal policy. After a commodity boom in 1976-77, expansionary fiscal policies increased the price of nontradable goods relative to tradable goods. Government deficits induced large external deficits. The authors analyze the structure of government spending and revenues to investigate whether there is a relationship between the large government deficits and the Ivorian economy's poor performance during the 1980s. They also examine what factors determine the real exchange rate and the external balance.
See Less -

In developing countries, most financial assets in formal markets are deposits at financial institutions. This potentially important tax base could be taxed at a low administrative cost.
... See More + When revenues of financial taxes are significant, implicit taxes dwarf explicit taxes. The author focuses on the implicit taxation of financial assets through seigniorage, reserve requirements, lending targets, and interest ceilings combined with inflation. The last instrument has often been overlooked, but it has generated more than a third of implicit revenues in some cases by lowering the cost of government borrowing. Tax revenues are difficult to measure because of regulations that prevent the use of market prices for computation and distort the meaning of some definitions. For some countries, the standard method of seigniorage grossly underestimates the revenue from financial taxation. The author discusses various sources of distortion but ignores potential impacts on the level of saving and the growth rate. Although taxes on financial assets have a low administrative cost, the excess burden that stems from the misallocation of resources is probably a much higher fraction of revenues than that of other taxes.
See Less -

The purpose of this study is to set out a practical method for analyzing how inflation, interest ceilings, reserve requirements and like impositions have had tax-like effects and how they can be compared with explicit taxes.
... See More + Using this method estimates of the varying magnitudes of the total taxation of financial intermediation in five African economies during recent years are computed. The paper explores the macroeconomic and fiscal dynamics which have contributed to the use of heavy taxation on the financial sector in certain countries and for certain periods. The likely impact of these taxes on efficiency is also examined.
See Less -

The paper surveys recent work on tax reforms in dynamic economies where the level of capital and the factor prices are endogenous. The presentation emphasizes methodological issues.
... See More + The framework for the evaluation of tax reforms is described, and the main results of the literature are presented for three types of capital accumulation: the neoclassical model with an ad hoc savings rate, the life-cycle model of overlapping generations, and the model with intertemporal optimization. The tax on cash balances, the public debt and the social security program are discussed in the context of these models. Other issues such as the flexibility in the mobilization of government revenues and the case of an open economy are also considered.
See Less -

The purpose of the paper is to discuss some aspects of the second best taxation in developing economies in relation to the analysis of tax reforms.
... See More + A brief intuitive review of indirect taxation in the second best is presented first. The insights are then used for the analysis of tax reforms in the distributional content of a developing economy. The most important stylized feature is the division of the economy into a rural and an urban sector. The simple model which has become standard in this context is first presented. It is then expanded to analyze a set of selected issues such as subsidies or fertilizer or the required benefits of public expenditures financed by second best taxation in a static or a dynamic framework. Extensions which take into account other sectors of the economy (estates, small enterprises) are also considered.
See Less -